China Aerospace International Holdings Limited (0031) AI Stock Analysis

• Market Cap: HK$1.73B
• Dividend Yield: N/A
• Average Volume (3M): 18.18M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.69
• Revenue Growth: 14.06%
• EPS Growth: 4.41%
• Country: HK
• Employees: 7,009
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.01
• Shares Outstanding: 3,085,022,000
• 10 Day Avg. Volume: 15,842,956
• 30 Day Avg. Volume: 18,184,071
• PEG Ratio: 0.01
• Price to Book (P/B): 0.16
• Price to Sales (P/S): 0.29
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: HK$0.50 ▼(-7.41% Downside)

The overall stock score reflects significant challenges in financial performance, with declining revenue and negative profitability. Technical indicators suggest bearish momentum, and valuation metrics are unattractive due to a negative P/E ratio and lack of dividend yield. Strategic improvements are necessary to enhance financial health and investor appeal.

China Aerospace International Holdings Limited Business Overview & Revenue Model

Company Description

China Aerospace International Holdings Limited, an investment holding company, engages in hi-tech manufacturing business in the People's Republic of China. The company distributes plastic and metal products and molds, liquid crystal displays and modules, printed circuit boards, intelligent battery chargers, and electronic components. It is also involved in the provision of property investment and management, and treasury services; electroplating of metals; and distribution of packing products. The company was incorporated in 1975 and is based in Hung Hom, Hong Kong, and is considered a Red Chip company due to its listing on the Hong Kong Stock Exchange.

How the Company Makes Money

China Aerospace International Holdings Limited generates revenue through multiple streams, primarily from the sale of aerospace components and satellite systems to governmental and commercial clients. A significant portion of its earnings comes from contracts with aerospace agencies and companies involved in space exploration and satellite deployment. The company also benefits from joint ventures and partnerships with other aerospace firms and research institutions, which allow it to leverage advanced technologies and expand its market reach. Furthermore, its investment in research and development enables the creation of innovative products, enhancing its competitive edge and attracting new business opportunities.

China Aerospace International Holdings Limited Financial Statement Overview

Summary

The company faces declining revenue and profitability issues, with negative net profit margins in 2024. Despite operational improvements in EBIT margins, cash flow challenges persist with negative free cash flow and no operating cash flow in 2024. The balance sheet remains stable but profitability concerns are significant.

Income Statement

The company's revenue declined in recent years, with a notable drop from 2020 to 2023. Gross profit margins decreased from 27% in 2020 to 21% in 2024. Additionally, the net profit margin turned negative in 2024, indicating challenges in profitability. However, there was a slight recovery in EBIT margins from 1.6% in 2023 to 2.7% in 2024, showing some operational efficiency improvements.

Balance Sheet

The company maintains a stable equity position with a debt-to-equity ratio improving from 0.21 in 2019 to 0.23 in 2024. However, total assets have been decreasing, and the equity ratio slightly declined from 54% in 2019 to 50% in 2024. Return on equity experienced significant volatility, dropping to negative in 2024, indicating profitability issues.

Cash Flow

After a positive cash flow trend up to 2020, the company's free cash flow turned negative in recent years, with no operating cash flow recorded in 2024. This indicates potential cash management issues. The free cash flow to net income ratio has been unstable, further emphasizing cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.04B	3.84B	3.45B	4.50B	4.75B	3.58B
Gross Profit	840.61M	807.85M	700.72M	989.11M	1.07B	967.95M
EBITDA	331.28M	130.00M	319.98M	47.86M	569.62M	618.56M
Net Income	-67.07M	-53.31M	4.05M	-119.92M	345.76M	296.68M
Balance Sheet
Total Assets	14.81B	14.28B	14.58B	15.27B	16.87B	16.12B
Cash, Cash Equivalents and Short-Term Investments	1.42B	1.50B	1.72B	2.09B	1.86B	1.99B
Total Debt	1.73B	1.62B	1.51B	1.60B	1.67B	1.63B
Total Liabilities	5.53B	5.17B	5.11B	5.48B	6.03B	5.83B
Stockholders Equity	7.31B	7.15B	7.41B	7.66B	8.39B	7.93B
Cash Flow
Free Cash Flow	-162.53M	-366.67M	-187.50M	344.43M	-311.90M	143.69M
Operating Cash Flow	121.82M	247.53M	244.21M	722.38M	152.18M	473.87M
Investing Cash Flow	-238.05M	-688.85M	-207.36M	-240.58M	-479.70M	206.65M
Financing Cash Flow	164.73M	92.02M	-166.77M	-209.64M	-193.49M	-192.79M

China Aerospace International Holdings Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:0031, the sentiment is Negative. The current price of 0.54 is below the 20-day moving average (MA) of 0.60, below the 50-day MA of 0.66, and above the 200-day MA of 0.49, indicating a neutral trend. The MACD of -0.03 indicates Positive momentum. The RSI at 34.63 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:0031.

China Aerospace International Holdings Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0580	75 Outperform	HK$3.85B	21.92	8.36%	0.88%	46.98%	130.04%
0259	66 Neutral	HK$3.34B	1.20	93.13%	46.60%	10.88%	1523.33%
0040	63 Neutral	HK$649.79M	21.69	2.74%	3.47%	5.79%	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
0031	46 Neutral	HK$1.73B	-25.81	-0.92%	―	14.06%	4.41%
0532	45 Neutral	HK$208.02M	-1.78	-8.12%	―	6.32%	28.39%

China Aerospace International Holdings Limited Corporate Events

China Aerospace Settles Arbitration Dispute with Metro Suzhou

China Aerospace International Holdings Limited announced a settlement agreement involving its subsidiary, CASIL Semiconductor, and Metro Suzhou Technologies Co., Limited, along with its affiliate Intermec Technologies. The agreement resolves ongoing arbitration disputes, with CASIL Semiconductor agreeing to financial settlements and future business commitments with Metro Suzhou. This settlement aims to restore cooperative relations among the parties and is not expected to adversely impact the company’s operations.

The most recent analyst rating on (HK:0031) stock is a Hold with a HK$1.00 price target. To see the full list of analyst forecasts on China Aerospace International Holdings Limited stock, see the HK:0031 Stock Forecast page.

China Aerospace International Reports Interim Loss Despite Revenue Growth

China Aerospace International Holdings Limited reported its unaudited interim financial results for the first half of 2025, revealing a revenue increase to HK$2,023,441,000 compared to the same period in 2024. Despite the revenue growth, the company faced a loss of HK$85,776,000, attributed to increased expenses and fair value changes in investment properties, impacting its overall financial performance.

China Aerospace Issues Profit Warning Amid Real Estate Challenges

China Aerospace International Holdings Limited has issued a profit warning, anticipating a net loss between HK$75 million and HK$95 million for the first half of 2025, compared to a HK$59 million loss in the same period of 2024. This increased loss is attributed to a decline in demand for commercial real estate leasing in mainland China, impacting the fair value of investment properties, despite a 10% revenue growth driven by the company’s hi-tech manufacturing business.

China Aerospace International Holdings to Review Interim Results and Dividend

China Aerospace International Holdings Limited has announced that its Board of Directors will meet on August 27, 2025, to review and approve the unaudited interim results for the first half of the year and consider the payment of an interim dividend. This meeting is significant as it will determine the company’s financial performance and dividend decisions, which could impact its market positioning and stakeholder interests.